Estimate your monthly loan payment, total interest and total loan cost based on the amount borrowed, interest rate and repayment term.
The table below shows how your estimated loan balance could change each year based on the assumptions entered above.
| Year | Principal paid | Interest paid | Remaining balance |
|---|
A loan calculator estimates the regular payment required to repay a loan over a specified period. The calculation uses the amount borrowed, the interest rate and the repayment term.
With an amortizing loan, each payment normally includes an interest portion and a principal portion. As the balance decreases, the amount of interest charged can also decrease over time.
The results can help you compare different hypothetical loan scenarios and understand how the interest rate and repayment term affect borrowing costs.
A higher interest rate generally increases the monthly payment and the total interest paid over the life of the loan.
Comparing different assumed interest rates can show how borrowing costs may change over the same repayment period.
A longer repayment term can reduce the required monthly payment but may increase the total amount of interest paid.
A shorter term can require higher monthly payments while reducing the amount of time interest is charged.
Suppose you borrow $25,000 at an assumed annual interest rate of 7% and repay the loan over 5 years. The calculator estimates the monthly payment, total interest and total amount paid.
This is a hypothetical example. Actual loan offers may include additional fees, different interest rates, taxes, insurance or other costs depending on the lender and type of loan.
This calculator can be used for general amortizing loan scenarios, such as personal loans, auto loans and other installment loans. Actual loan terms vary by lender and product.
No. The calculator estimates principal and interest only. Origination fees, application fees, insurance and other charges are not included.
Generally, yes. For the same loan amount and repayment term, a lower interest rate generally results in a lower monthly payment and lower total interest.
Generally, yes. Extending the repayment term can reduce the monthly payment, but it can also increase the total interest paid.
No. The results are estimates based on the assumptions entered. Actual loan costs depend on the lender, loan agreement, interest rate, fees and other conditions.
Yes. You can change the loan amount, interest rate and repayment term to compare different hypothetical borrowing scenarios.
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This loan calculator is provided for educational and informational purposes only. It does not constitute financial, loan, tax or legal advice.
Actual loan payments and total borrowing costs may differ because of interest rates, lender fees, insurance, taxes and other expenses.